​Arjun wins underground carbon capture tender with Danish Energy Agency

A subsidiary of Arjun Infrastructure Partners has won a contract with the Danish Energy Agency to capture and store CO₂, as part of the agency’s negative emissions strategy.

Bioman, a subsidiary of Arjun portfolio company Bigadan, a Danish biogas platform company, will capture and store 25,000 tonnes of biogenic CO₂ (CO₂ from biomass) annually with a supporting grant of DK28m (€3.8m).

The Danish Energy Agency has awarded BioCirc CO₂ and Carbon Capture Scotland the remaining two contracts. Between 2026 and 2032, the three companies will collectively capture and store 160,350 tonnes of biogenic CO₂ annually, equivalent to the absorption level of 16,000 hectares of forests. This is the first underground CO₂ storage initiative in Denmark.

Under the agreement, a liquefaction plant will be established at Bigadan’s Kalundborg site. Thereafter, the liquified CO₂ will be transported to ‘Gas Storage Denmark’, the first carbon capture storage facility in Denmark, located onshore in nearby Zealand.

Arjun said this process would ensure that the carbon removals are durable, with a low risk of reversal over the long term (of more than 100 years). The versatility of biogas also allows the use of compressed biogas-fuelled trucks, further improving the impact of the scheme, the agency said.

Arjun’s head of ESG, Rhyadd Keaney-Watkins, said: “Not only is this an exciting development for Bigadan, but it’s also an excellent demonstration of the decarbonisation impact of biogas.

“Technology-based solutions, such as those provided by Bigadan, provide high-quality and verifiable carbon removal offsets and are an important step to closing the carbon removal gap which currently exists. Projects such as these are vital in renewing confidence in robust removal opportunities and their ability to be commercially delivered under the right circumstances.”

Henrik Iversen, chief commercial officer of Bigadan, said: “It’s huge. By capturing the readily available CO₂ – initially from our biogas production in Kalundborg – we will store 25,000 tonnes of CO₂. Although this venture is not without risks, we believe that CO₂ storage is one of the future pillars for Danish biogas.”

Arjun made its first investment in Bigadan in 2021, one of the largest private investors in the Danish biogas sector.

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